LATEST REGULATIONS ON REGION-BASED MINIMUM WAGES IN 2023

The region-based minimum wage is an important basis for employees and employers to agree on the salary and is also the basis for determining the minimum compulsory social insurance payment applicable in units and enterprises. In this article, Lac Duy & Associates will provide readers with the latest regulations on region-based minimum wages in 2022.

Currently, after Decree No. 90/2019/ND-CP stipulating the region-based minimum wage applied to employees under labour contracts issued by the Government on November 15^th 2019 (“Decree 90”), there is no specific document stipulating the region-based minimum wage for employees under labour contracts in 2021. However, in Decree 145/2020/ND-CP elaborating some of article of the labour code on working conditions and labour relations issued by the Government on December 14^th 2020 (“Decree 145”), which mentioned region-based minimum wages from January 1, 2021, specifically:

Point a, Clause 1, Article 96, Decree 145 stipulates the benefits and operating conditions of labour mediators:

“1. Labour mediators are entitled to:

1. A remuneration of 5% of the average of applicable monthly minimum wages of all regions prescribed by the Government if he/she is working under an employment contract (from January 01^st 2021, the region-based minimum wages prescribed in the Government’s Decree No. 90/2019/ND-CP dated November 15^th 2019 shall apply) for each day of performing the labour mediator’s duties as assigned by a competent authority.”

Point a, Clause 1, Article 103, Decree 145 stipulates the benefits and operating conditions of labour arbitrators and labour arbitration councils:

“1. Labour arbitrators are entitled:

1. An allowance of 5% of the average of applicable monthly minimum wage of all regions prescribed by the Government if he/she is working under an employment contract (from January 01^st 2021, the region-based minimum wages prescribed in the Government’s Decree No. 90/2019/ND-CP dated November 15^th 2019 shall apply) for each day of studying case files, collecting evidence and attending meetings to settle labour disputes as assigned.”

Thus, from January 1, 2021, the region-based minimum wage will remain unchanged and continue to comply with Decree 90 with the following levels:

The above is information about the region-based minimum wage in 2022. In case you need detailed information or other information in the relevant labour field, readers can contact Lac Duy & Associates for advice and timely support.